BYD plans factory in Europe: Spain and France in focus

Chief Strategy The Chinese Car Manufacturer BYD Plans to Build a Factory in Europe

2026-07-01 Source: Reuters | Translated by AI 1 min Reading Time

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As BYD's chief strategist for Europe has stated, the company is likely close to deciding to build a factory for automotive manufacturing in Europe.

Europe's car manufacturers may soon have the Chinese competition right on their doorstep! This is because they are increasingly looking for factories in Europe to bypass new additional tariffs on hybrids. BYD will start manufacturing in Hungary this year and likely elsewhere too...(Image: BYD) — Europe's car manufacturers may soon have the Chinese competition right on their doorstep! This is because they are increasingly looking for factories in Europe to bypass new additional tariffs on hybrids. BYD will start manufacturing in Hungary this year and likely elsewhere too...
(Image: BYD)

If the news is true, there will soon be a factory of the Chinese car manufacturer BYD in Europe. Reportedly, the leading candidates for a location are Spain and France. BYD's European Chief Strategist Alfredo Altavilla hinted as much. This aligns with a recent statement by BYD's Europe chief, Stella Li, who mentioned they are looking for a factory in Southern Europe to take over. In Hungary, BYD is already set to roll out its first vehicles from the assembly line later this year. Furthermore, BYD aims to produce around 70 percent of the cars sold in Europe within this market in the future. However, BYD is not the only Chinese car manufacturer looking for factories in Europe, as reported. This move is apparently intended to bypass additional tariffs on hybrid vehicles. Additionally, the EU's Industrial Accelerator Act (IAA) aims to introduce "Made in EU" regulations for public procurement and subsidies. Since there is no time to construct new factories in Europe, existing ones are now being sought.

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